Simple Interest Calculator

What is Simple Interest and How to Calculate It?

Simple Interest (SI) is a method of calculating the interest charged or earned on a principal amount for a specific time period and at a fixed rate of interest. Unlike compound interest, it does not account for interest on interest. This makes it an ideal choice for short-term loans or deposits.

The formula to calculate Simple Interest is:

SI = (P × R × T) / 100

• P = Principal amount
• R = Rate of interest per annum
• T = Time (in years)

If the time is given in months or days, it must be converted into years for accuracy. Our tool does that automatically for you.

Use Cases for Simple Interest:

• 📌 Personal loans with a fixed interest rate
• 📌 Short-term lending
• 📌 Educational loan evaluation
• 📌 Fixed deposits with annual rates

Using this tool, you can:

• ✅ Enter your principal, rate, and time
• ✅ Choose your time unit: years, months, or days
• ✅ Instantly view the interest and total amount

Start planning better with this smart calculator and avoid miscalculations in your finances!